Application developers, especially social game developers, want a more effective way of measuring the value of users within their applications. For many social games, offer networks have become the primary source of revenue. Offer networks have faced increasing scrutiny after inserting controversial and relatively valueless offers like IQ Quizzes in exchange for virtual currency. Today, gWallet says that they have a solution to these aggressive offers: gLTV.
The new gLTV metric measures the lifetime value of an application’s users. At least that’s what the company claims. When we spoke to CEO Gurbaksh Chahal (“G”) yesterday, we asked him about the inputs used to measure gLTV. G told us that the new metric within gWallet is measuring how various offers impact the overall lifetime value of each user. That’s it.
Is an application user’s lifetime value directly correlated to the offers it’s developer chooses to provide? That’s what the team at gWallet believes, however I was a bit confused. Aren’t there other variables that impact the lifetime value of a user? For example if an application’s user interface is modified, the lifetime value of a user can also be impacted. With all else constant though, gWallet is focused on measuring how changes in the offers will impact the value of a user instead of an offer wall’s CPM.
It’s one of many features gWallet will provide developers with, but this new feature also highlights how much room for improvement still exists. The more metrics a developer has for measuring how subtle adjustments to the application impact their bottom line, the more revenue that can be generated in the long-run.